Dogecoin price analysis: DOGE exists in the volatility red zone, traders should be aware of next levels

• Dogecoin is watching just above an important supporting bullish trendline on the daily price chart.
• Traders noted volatility that favored the bears last night, therefore, trading volume increased by almost 40%.
• The DOGE/BTC pair price is up 3.3% at 0.000003535 Satoshis.

Dogecoin price eased on Thursday as Elon Musk continued fundraising for his Twitter acquisition. These gains were then undone as the cryptocurrency traded, and stock prices fell in the overnight session.

Looking at the higher time frame, the price action suggests a higher-low and lower-high formation. Thus Dogecoin is trading at $0.1261 at the time of writing. At the same time, DOGE holders are attempting to protect themselves from more selling below the uptrend line, which has been a great hedge since the yearly low.

Last week, DOGE drew a gravestone candlestick, and now the ongoing weekly candle is seen inside the previous one. Nevertheless, DOGE Crypto has lost 6.7% of costs in the last 24 hours as the price slipped below the accumulation zone (green box). On the other hand, the DOGE/BTC pair is up by 3.3% at 0.000003535 Satoshis.

Last week volatility was at its highest in last 2 weeks, but again traders are facing the problem of low liquidation. Meanwhile, traders observed that the volatility was in favor of the bears last night, therefore, trading volume increased by almost 40%

Buyers need to move DOGE price towards accumulation zone

The daily price chart is trending below each of the EMAs including 20, 50, 100, and 200 to move towards the next support level of $0.1.

Similarly, if the RSI peak moves below the 43 mark, then the daily RSI is going to be in oversold territory.

Besides, the MACD turned into negative territory after a bearish crossover.

Conclusion

Although the technical indicators are not giving any trend reversal signal, but as per the price action, a bounce-back could occur if the bulls keep the Dogecoin price above the bullish trendline.

Support level – $0.120 and $0.10

Resistance level – $0.16 and $0.20

ALSO READ: In Q1 2022, Block Generated $1.73 billion In Bitcoin Sales via Cash App: Reason Behind Yearly Drop

Disclaimer 

The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.

Latest posts by Nancy J. Allen (see all)